PRAKASH CHANDRA Vs. ORIENTAL FIRE AND GENERAL

JUDGEMENT

(1.) THIS special appeal under Section 18 of the Rajasthan High Court Ordinance, 1949, has been filed against the judgment dated February 7, 1985 of the learned single Judge, which he passed in an appeal under Section 110-D of the Motor Vehicles Act, 1939 (for short 'the Act')

(2.) IT is not necessary to re-state the facts in detail, for, they have elaborately been stated in the judgment under appeal. Suffice it to state that respondents No. 2 and 3 filed a claim against appellants No. 1 and 2 and Oriental Fire and General Insurance Company Limited, Udaipur (respondent No. 1) under Section 110-A of the Act. Their claim was for Rs. 1,22,000/-. The Motor Accidents Claims Tribunal, Udaipur ('the Tribunal') by its award dated March 10, 1978, allowed the claim to the extent of Rs. 4000/- each set of the claimants with proportionate costs. Aggrieved, the claimants filed an appeal under Section 110-D against the respondents. The learned single Judge allowed the appeal and ordered that Prakash Chandra, Mathuralal (appellants) and the Oriental Fire and General Insurance Company Limited, Udaipur ('the Insurance Company' herein) should pay a sum of Rs. 31,500/- as compensation to them. The liability of the Insurance Company for the payment of compensation was fixed at Rs. 5000/- being statutory liability. It was further ordered by the learned single judge that the aforesaid amount will carry interest at the rate of 6% per annum from the date of the award of the Tribunal, i.e., March 10, 1978, until it is paid. This judgment, as slated above, was rendered on February 7, 1985. Prakash Chandra and Mathura Lal (appellants) have filed this special appeal against the Insurance Company and the claimants.

(3.) SECTION 95(2) of the Act, as it stood at the relevant time was as follows: (2). Subject to the proviso to Sub-section (1), a policy of insurance shall cover any liability incurred in respect of any one accident upto the following limits, namely: